Rents Reach All-Time Highs In Manhattan, Brooklyn And Queens In New StreetEasy Report

StreetEasy has published their October 2019 Market Reports recently. It shows that Rents have hit an all-time highs in Manhattan and Queens and Queens. Brooklyn has seen rents rise in its fastest pace since 2015. Furthermore the report indicates that renters are in a very competitive market with landlords giving less concessions as years past. The StreetEasy Market reports are a monthly overview of the Manhattan, Brooklyn and Queens sales and rental markets.  The report data is aggregated from public recorded sales and listings data from real estate brokerages in New York City.

October had the highest amount of discounts for the year however the percentage of discounts was the lowest since 2015. StreetEasy reports “Brooklyn offered the fewest discounts, with only 17% of rentals getting a cut, a decrease of 3.1 percentage points from last October. In Queens, this figure fell to 18.1%, down 1.9 percentage points from a year prior. In Manhattan, 23.4% of rentals were discounted, down just slightly from last year (less than a percentage point). ” It should be noted that the lack of discounts affected rental prices. Brooklyn’s rents rose 4.3% to $2,720, Queens rents went up 3.4% to $2,202 and Manhattan increases of 3.1% to $3,315. All are record high rents.

StreetEasy economist Nancy Wu believes that the high demand for signing new leases is affecting landlord’s decisions in not giving out concessions. “The spike in demand for rentals we’re seeing this year means that landlords don’t have to work as hard to attract a tenant this winter season. New Yorkers looking to sign a new lease this winter should expect tougher negotiations and fewer concessions, and should be prepared to move when they find the right apartment.”

Below are some other key findings from the report per borough:

Manhattan: Median asking rents for 1-bedroom units increased significantly as it rose 9.1% to $3,438. Home prices in Manhattan dropped 4.0% to $1,095,039. The share of homes for sale with a price cut was 16.5%. This was the most significant drop in 5 years.

Brooklyn: The median asking rent for a 1-bedroom apartment in North Brooklyn jumped 19.1% to $3,200. Brooklyn home prices remained unchanged at $702,517.

Queens: Asking prices for 1-bedroom apartments increased 3.9% in Queens. The median asking rent jumped to $1,975. The borough had the fewest price cuts at 12.4% which was the lowest of all boroughs.

BJD Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

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Housing Reform Sends NYC Multifamily Sales Tumbling Per PropertyShark Report

A new report from PropertyShark indicates that the Housing Stability and Tenant Protection Act of 2019 (TPA) has adversely affected Multifamily sales in NYC. Per the report, multifamily sales are down 76% in volume year over year totaling only $284 million across Manhattan, Bronx, Brooklyn and Queens. At the same time last year, sales numbers were at $837 million for the time period.

PropertyShark analyzed multifamily sales in Manhattan, Brooklyn, Queens and the Bronx for the month of September to get as they say get “an accurate snapshot of the situation on the ground”. Besides finding that sales were down 76%, they also found that sales activity was down 34% against 2018 and there were only 55 deals during this period. That amount to the slowest period in the last 33 months. The volume of multifamily units also are down significant. The report states that sales of units transferred was halved. They state “only 1,146 multifamily units traded hands last month across the four boroughs, while September 2018 saw 916 units traded in the Bronx alone.” Across the four boroughs being reports units transferred was down 51% during the period. 14,509 multifamily units were sold wherein 25,368 was sold during the same period last year.

Across the 4 boroughs here is what the breakdown is:

Manhattan- The majority of the multifamily loss starts in Manhattan as it makes up more than half of sales for NYC and is the influential borough that affects the others. The report indicates that sales dropped significantly by 81% year over year. Sales amounted to $163 million for the month which is a significant dropoff from the $837 million the year before. Sales activity dropped 71% with only 5 deals closed.

Brooklyn- Brooklyn sales volume was down 68% from the same period last year. There were 21 deals that closed with the volume coming in at $57 million. The units traded were also down substantially. For the first 9 months of the year 3,639 units were transferred. In comparison 14,006 were traded during the same period last year.

Bronx- Bronx sales activity was down 64% with only 8 deals closing in the period. Sales volume came in at $28 million which is down a whopping 82% from 2018. Year to date sales are down 15% at $777 million. The report also indicates that prices were down 27% to $128,041 from 2018.

Queens- Queens was the only borough that showed positive figures. In the borough, there was a 100% increase in sales at $29 million which is up from $14.5 million from 2018. There was an 86% of sales activity as 147 units were transferred in 13 deals.

BJD Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

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StreetEasy Report Shows Record High Numbers Of Inventory For Sale In Brooklyn And Queens

StreetEasy released their 3rd Quarter 2019 Market Report recently. The report indicates that the number of homes for sale in Brooklyn and Queens. The number of homes for sale in Manhattan has also hit near all-time highs. The StreetEasy Market Reports are a monthly overview of the Manhattan, Brooklyn and Queens sales and rental markets. The reported are thereafter aggregated per quarter. It is derived from from public recorded sales and listings data from real estate brokerages that provide comprehensive coverage of Manhattan, Brooklyn and Queens.

The report indicates that although there is more competition as there is more inventory, sellers have been reluctant to give discounts as the concessions have remained pretty much unchanged from last year. The median size of the cuts were pretty much the same as last year as well. Brooklyn discounts rose just one percentage point to 22.3% and the median size of price cuts was 5.1%. Queens remained the same with a stagnant figure of just 19.3% giving price cuts with the median size of the cuts coming in at 4.3%. In Manhattan only 23.7% of sellers gave a discount, which is the lowest amount of 2019. The median size of price cuts in the borough was 5.3%.

Grant Long, Senior Economist for Streeteasy says the reluctance of sellers to reduce prices had made the rental market stronger. He states “Most sellers are still refusing to bow to the buckling market, causing would-be buyers to turn to the rental market, where they are finding a lot to like. Until sellers recognize that prices are not what they once were, those with the means to buy will continue to play the waiting game from the comfort of their rental. With job growth in the city continuing to support demand for homes, we expect to see an unusually competitive winter in the rental market, including likely record rates of rent growth.” Rents in Manhattan increased at the fastest rate since 2015 to $3,318 up 3% from last year. Brooklyn rents rose at the fastest rate in the city, up 3.9% to $2,712. Queens rents rose 3.3% to $2,200 which was its biggest jump since 2016.

BJD Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://bjdpropertymanagement.com/streeteasy-report-shows-record-high-numbers-of-inventory-for-sale-in-brooklyn-and-queens/

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Hudson Yards Becomes Most Expensive Neighborhood In New York City

Property Shark has recently released their market study of the top 50 neighborhoods in New York City for the third quarter of 2019. Their study indicates that Hudson Yards has surpassed Tribeca as the most expensive neighborhood in the City with sales in the neighborhood coming in at a median price of close to $5 million dollars per property.

The methodology of median sales price was determined based on residential property sales closed between April 1, 2019 and June 30, 2019. The statistics were based on residential properties that are single-family homes, condos and co-ops. Package deals were exclude and a neighborhood had to have more than 5 residential sales. Of significance is that Manhattan, Queens and the Bronx all saw decreases in the amount of transactions year to year. A big reason theorized for the fall of transactions is the Mansion tax which went into effect on July 1st.

Manhattan’s median sale price fell below $1 million for the first time since the 4th quarter of 2016.  Also Brooklyn and Manhattan were the only two boroughs to have transactions over $3 million. The study states “Manhattan and Brooklyn were the only boroughs that saw units trade for more than $3 million. However, both saw significant drops in median home sale prices and transaction volumes. In Brooklyn, the percentage of sales greater than the $3 million threshold fell 44% Y-o-Y to just 24 sales. The median sale price over the threshold fell to $4,075,500—decreasing 3% Y-o-Y. Manhattan’s transaction volume in the high-end market fell more than 37% to 266 total transactions year-over-year. The median sale price for this market also dropped more than 10% Y-o-Y to $4,477,500—a decline of $515,000.”

Below are some highlights for the boroughs of Manhattan, Queens and Brooklyn:

Manhattan: Lower East Side’s median sale price grew 87% to almost $1.5 million. The Lower East Side moved the neighborhood 8 positions to #8. TriBeCa registered a 30% decline from 2018 to around $2.4 million. The Upper East Side had the most transactions in the quarter coming in with 539 sales at a median sales amount of $1.175 million.

Brooklyn: 2 of the top 10 neighborhoods came in from Broooklyn. Carroll Gardens’ median sale price of $1.43 million had them moved 3 spots on the list from #13 to the 10th spot. Cobble Hill saw a 102% increase with a median sales amount of $1.8 million. Cobble Hill came in at #7 on the list.

Queens: Queens had 10 of the most priciest neighborhoods on the list with Ditmars-Steinway coming in as the borough’s most expensive with a median sales of $1,075 million and #21 in the City. Old Howard Beach entered the list at #45 which was up 50% from 2018 and coming in at the 45th position.

BJD Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

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Total Number Of NYC Investment Sales Down But Monetary Value Ticks Higher According To Report

The Real Estate Board of New York (REBNY) released their Investment Sales Report for the first half of 2019. The report indicates that there were 1,750 total transactions for the period with a monetary value of $22.4 billion. The total number of transaction were down 17% year over year but the monetary value during that same period increased 3%.

The report states that the monetary value was assisted by 5 commercial and retail sales. The 5 sales alone comprised a value of $5.15 billion. This bolstered the consideration for retail property to $2.56 billion which was an increased of 46% from the second half of 2018 and 30% year-over-year. Sales consideration for office buildings for the period was $6.95 billion which was an increase of 7% from the second half of 2018 and 12% year-over-year. It is noted that office buildings as a whole represented the majority of citywide total consideration (31%). James, Whelan, REBNY President believes that the outlook remains positive going in the future. He states “Although several large transactions buoyed the first half of the year, the total number of transactions in the five boroughs declined significantly. We remain confident in the economic outlook for New York City and hope to see a stronger second half of the year in terms of total investments.”

Sales consideration increased in the boroughs of the Bronx, Brooklyn and Queens. We saw a decrease in Manhattan and Staten Island. Here are the figures according to the boroughs below:

Manhattan:  Sales in Manhattan came in at $14.1 billion which was a 3% increase in consideration year-over-year. The total amount of transactions were down 22% year over year.

Queens: Sales amounted to $2.41 billion seeing an 11% increase in consideration year-over-year. The number of Queens sales transactions are down 12% year-over-year.

The Bronx: Sales were at $1.33 billion amounting to a 15% increase in consideration year-over-year. Bronx investment sales transactions down 32% year-over-year.

Brooklyn: Sales valued at $4.3 billion which is a 2% increase in consideration year-over-year. Transactions in Brooklyn decreased 20% year- over-year.

State Island: Investment sales totaled $219 million which is a 24% decrease in consideration year-over-year. The total amount of transaction are also down 11% for the period.

In the multi-family sectors:

“Multifamily Rental, Elevator: In Manhattan, multifamily rentals with an elevator accounted for 36 sales or 11% of the borough’s transactions. Those 36 transactions made Manhattan the borough with the most transactions in the five boroughs. Citywide, there were 81 transactions that accounted for 5% of overall transactions.

Multifamily Rental, No Elevator: In Manhattan, multifamily rentals without an elevator accounted for 108 sales or 33% of the borough’s transactions. By number of transactions, this was the most active property category in Brooklyn, which registered 249 sales accounting for 44% of the borough’s transactions.” With the new housing laws going into place it will be interesting to see how much of a decrease we will see in volume and sales consideration we will see in next half year’s report.

BJD Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

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